The Payment of Bonus (Amendment) Bill, 2015

[Guest]

Earlier we are paying 8.33% bonus to all workers and office staff.

Now as per The Payment of Bonus (Amendment) Bill, 2015, which amend the Payment of Bonus Act,1965 on 7 December, 2015, should we have to pay double bonus onward to all employee.

[DR.MARIAPPAN GOVINDARAJAN]

The bonus limit and wage limit is increased in the Payment of Bonus (Amendment) Act, 2015. It does not amount to pay double bonus to employee.

[Ganeshan Kalyani]

The Payment of Bonus (Amendment) Act, 2015 envisages enhancement of eligibility limit from ₹ 10,000/- per month to ₹ 21,000/- per month and Calculation Ceiling under section 12 from ₹ 3500 to ₹ 7000 or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher.

AI Summary

Bonus eligibility increase expands wage and calculation ceilings while not creating entitlement to double bonus. The Payment of Bonus (Amendment) Act, 2015 increases the monthly wage eligibility threshold for bonus entitlement and raises the ceiling used in bonus computation to a higher fixed amount or to the scheduled employment minimum wage as fixed by the appropriate government, whichever is higher, thereby expanding who may qualify and the wages considered for bonus calculation, but it does not create an entitlement to pay double bonus.